Superloop Limited (ASX:SLC) reported a 21.6% year-over-year increase in revenue to $664 million for the fiscal year ended June 30, 2026, as the company highlighted the completion of its three-year strategic transformation and the launch of a new three-year plan targeting through FY29.
Underlying earnings before interest, tax, depreciation and amortization (EBITDA) climbed 33% to $123 million, while net profit after tax surged to $17.5 million from $1.2 million in the prior year. The company’s underlying EBITDA margin expanded to 18.5%, up from 16.9% a year earlier, with second-half margins reaching 19%. Gross operating cash flow totaled $123.5 million, representing a 40% increase and a 101% conversion of underlying EBITDA.
Free cash flow rose 50% to $84.4 million, with closing cash at $101.7 million and net debt of $128 million. The net leverage ratio stood at 1.3 times EBITDA, below the 2.5 times ceiling, while the interest cover ratio was 15.5 times. Capital expenditure totaled $37.9 million, slightly above the upgraded guidance of $34–37 million, with $9.5 million allocated to digital and AI investments.
Customer additions accelerated, with the total base rising 28% to 935,000, including 205,000 new customers during the year. The consumer segment generated $463.2 million in revenue, up 27%, while the business segment reported $113.4 million, an 8% increase. Wholesale revenue reached $97.3 million, up 19%, with gross margins improving across all segments. The group’s nbn market share rose to 8.5%, including a 5.2% share in the consumer segment.
The company’s Smart Communities initiative, bolstered by the $165 million acquisition of Lynham in May 2026, expanded contracted lots by 93,000 to 190,000. Gross margins for Smart Communities ranged between 70% and 75%, with internal rates of return exceeding 25%. The initiative’s contracted lots are expected to surpass 250,000 by the end of the current fiscal year and exceed 260,000 by FY29.
Automation and AI tools played a key role in operational efficiency, handling 63% of customer interactions in FY26. The company’s chatbot, Teddy & Mo, managed 34% of support interactions, resolving 65% of cases without human intervention and avoiding approximately 400,000 calls. Fault-finding tools Refreshify and Exray handled 29% of interactions over 500,000 times, with 85% resolved autonomously. The Processify automation platform enabled 75% of orders to be activated on the same day, with less than 10% of digital orders requiring manual intervention.
Superloop’s FY29 targets include group revenue exceeding $1 billion, underlying EBITDA of $200 million, and reported EPS growth above 30% on a three-year compound annual growth rate basis. The company expects EBITDA margins to reach 20% in FY27, with business-as-usual capex running at 4.25% to 4.75% of revenue. Dividends are not currently part of the capital allocation strategy.
